Open Text profit jumps to $61.1million

WATERLOO, ONT.—Business software company Open Text Corp. said Thursday it earned $61.1 million (U.S.), up from $47.4 million a year ago, helped by increased revenue.

The company said the profit amounted to $1.04 per diluted share for the quarter ended Dec. 31, up from 81 cents per diluted share a year ago.

Revenue in what was the company’s second quarter grew to $352.2 million, up from $321.5 million.

Open Text sells software used by companies to manage their electronic documents.

License revenue for the quarter came to $76.1 million, down from $89.7 a year ago, however the company reported cloud services revenue of $46.2 million in the quarter, a category it did not have last year.

Customer support revenue was $164.7 million, compared with $165.4 million, while professional service and other revenue was $65.2 million, down from $66.4 million.

OpenText chief executive Mark Barrenechea said it was the company’s highest quarterly revenue.

“We continue to invest in expanding our sales force and building new products, balanced with strong earnings,” he said in a statement.

“We are committed to leading the market with the broadest range of EIM software and services, both on premise and in the cloud.”

Shares in the company, which reported its results after the close of markets, closed up $1.62 at $59.88 on the Toronto Stock Exchange on Thursday.

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